Subdivision from 5 CICs to 12 Specialized Organizations
Naver announced on the 3rd that it will abolish five in-house independent companies (CIC·Company In Company) and subdivide them into 12 specialized organizations.
The newly formed specialized organizations are broadly divided into ▲ Product & Platform area focused on development and design that create new user experiences and technological innovation ▲ Business & Service area that concentrates on discovering new business opportunities and enhancing service appeal ▲ Content area that develops and provides content types tailored to user needs. Services such as Chijijik, Band, and Music will be operated as Cell organizations to enable agile and independent growth.
The background of this organizational restructuring is to introduce AI across all technical fields within the company in line with the flow of artificial intelligence (AI) technology, and to focus on strengthening capabilities in business areas such as advertising, shopping, and local services.
Naver plans to subdivide and specialize business expertise in core internet industry areas such as advertising, shopping, and local services to respond sensitively to market trends and proactively discover new business opportunities.
The Product & Platform area, which provides differentiated experiences to users based on Naver’s core technological functions such as AI, data, and search, and creates long-term technological growth, will serve as Team Naver’s new engine for technological innovation.
The governance function, which will serve as a hub for large-scale innovative projects that can drive Naver’s growth, will also be strengthened. Under CEO Choi Soo-yeon, three committees at the Team Naver level?Global Management, Product & Tech, and Employee Growth?will be newly established to promote synergy among each division.
CEO Choi explained the background of the restructuring through 'Companion Day,' a communication channel for all employees, saying, "As the boundaries between business areas are once again being broken down in the internet environment and the technological paradigm is shifting around AI, a company-wide strategic response was necessary, and the CIC-centered system that has driven Naver’s growth for the past nine years also needed to change."
She continued, "Since we have reorganized by dividing all areas including technology, business, service, and content, minimizing hierarchy and flattening the organizational structure to allow more diverse insights to emerge based on the expertise of each area, active discussions and various collaborations between organizations have become more important than ever. To this end, we will develop a working culture that enables transparent information sharing and active collaboration to proceed more swiftly at both the company-wide and Team Naver levels," she promised.
This organizational structure will be implemented starting in April. Given the large scale of the restructuring, detailed follow-up changes will also continue thereafter.
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